Portioning taxable state refunds when living and working in different states
I live in Indiana, but work in Illinois -- some of my job contracts are on-site in Illinois, and others are remote work. Last year, I received a taxable state refund from Illinois.
In my Schedule NR for Illinois, I am asked to provide the portion of each type of income that is assignable to Illinois. For income from jobs worked on site, this is easy: I assign all of that income to Illinois. For income from jobs where I worked remotely from Indiana, this is also easy: all income is assigned to Indiana (unless I've been terribly misled on this point). Interest income from savings accounts, too, is assigned to my state of residency. However, I am not certain how to split up 2017 Illinois state refunds.
I am inclined to believe that because the money contained in these refunds was originally earned on-site in Illinois, that this money still 'counts' as being earned in Illinois -- as such, it would all be assigned to Illinois. However, it was paid out while I was living in Indiana -- so would this be more similar to interest income or remote work income, and assigned to my state of residency?
In short: are tax refunds from state X assigned to state X when dividing income among several states, or should they be assigned to state Y of residency? Any advice would be appreciated.
(0)Terms of Use Privacy policy Contact About Cancellation policy © freshhoot.com2025 All Rights reserved.